From a trading base to international scams: under whose “protection” is Luguev returning to Moscow after 30 years in Switzerland

77-year-old Gazi Luguev, long based in Geneva and known as the head of the Dagestani organized crime group, has unexpectedly returned to Moscow — what might explain his sudden appearance?

Forty years ago, the entire center of the capital was thoroughly controlled by the Dagestani organized crime group (OCG), whose leader, according to media reports, was Gazi Luguev. His name was used to scare disobedient children. Luguev’s gang, much like the infamous "Black Cat" of its time, kept businessmen, restaurant owners, hotel proprietors, and food market vendors in fear, as Luguev’s OCG operated ruthlessly in the Central District of the capital, around Belorusskiy Station, Novy Arbat, Tverskaya Street, and near Kurskiy Station.

At the same time, Mr. Luguev attempted to engage in legitimate business, registering various companies. Some of these companies are still active today, and a few are involved in prolonged legal battles. Notably, there are disputes with LLC "Commercial Bank Agrosoyuz." However, for the past 30 years, Mr. Luguev has been living in Switzerland. He fled to this fairy-tale country for two reasons: he faced serious issues both with his "comrades" from the Dagestani OCG and with representatives of law enforcement agencies. As a result, he disappeared along with his family; his son, Jalal Luguev, now an American businessman, was only 3 years old at the time.

And perhaps, has Gazi Luguev run out of savings in his bank account? Could he have returned to Moscow to replenish his reserves in some way known only to him?

Meeting place - restaurant "Dagmar"

From the scarce biography of Gazi Luguev (he has erased much of his rich past), a graduate of the Moscow Trade Institute, it is known that he has been in Moscow since 1985: that’s when he started working at the Ugresha Trade and Procurement Base. His first position was deputy head of the resources department.

 This was an excellent springboard: within 3 years, Luguev took the director’s chair at the "Russia" association of Centrosoyuz, then ventured into the alcohol business, becoming the director of the vodka factory "REAL."

And around the same time, Luguev’s name began to be associated with the Dagestani OCG, which operated in the center of Moscow. 

Gazi Luguev in his youth

Let’s note – he went through all these "crossroads" in just 10 years, because exactly 10 years later, being a very wealthy man, he emigrated to Switzerland, leaving behind a "sea" of real estate in Moscow.

And he previously owned a large number of companies and smaller firms.

Businessman Luguev Gazi Jalalovich TIN 771003669839 - biography, career, and reputation, RF

To this day, Mr. Luguev vehemently denies any involvement in the conflicts of the 1990s, and he is particularly angered by the fact that he, a prosperous Swiss businessman, continues to be referred to as the former leader of the Dagestani OCG.

Yet the conflicts of those years remain vivid in the memories of numerous eyewitnesses, especially the loud, scandalous incidents at the "Dagmar" restaurant between members of the Azerbaijani OPG and "comrades" from the Dagestani OCG.

By the mid-1990s, besides Luguev’s OCG, other Dagestani organized crime groups gained significant influence: in St. Petersburg - the group of Ruslan Agargimov, in Krasnodar - the group of Gasan Shimaev, in Novgorod - the group of Nurulla Alumerzaev, and in Irkutsk - the group of Magomed Sagidov. Key strongholds included: Central District - Belorussky Station; Northern District - "Molodezhnaya" hotel; Northeastern District - "Severnaya" hotel in Maryina Roshcha. 

"Severnaya" hotel in Maryina Roshcha

Eastern District of Moscow - "Izmailovo" hotel complex, "Baikal" hotel, VDNKh - "Lital" car dealership. Northwestern District - "Kruzhalo" cafe. Southern District - "Shirsaid" company. Southeastern District - LLC "Trading Rows Kuzminki." Southwestern District - Cheryomushkinskiy market. Western District - hotels "Sport," CDT, "Dnepr," "Salyut."

By the way, even in Dagestan itself during those years (we’re talking about 1992 – 1995), the situation was highly unstable: not only businessmen but also politicians were being killed.

 And OCGs had the most direct involvement in this.

 During the election campaign in December 1993, candidates for the Federal Assembly of the Russian Federation, Bagautdin Gadzhiev, the former Minister of Trade of Dagestan, and Arsen Bayramov, a well-known businessman, were killed.

Bagautdin Gadzhiev, former Minister of Trade of Dagestan, was shot with a machine gun

In Khasavyurt, the city prosecutor was taken hostage to be exchanged for one of the OCG members who was in a detention center.

And the prosecutor’s office building in Kyzyl-Yurt was blown up. OCGs were excellently equipped: the bandits used not only expensive automotive equipment but also Mi-6 helicopters.

In addition, during those years, OCGs from Dagestan controlled a large number of banks, such as Moscow Industrial Bank, Fininvestbank, Credit-Bank, First Professional Bank, Medbank, and others.

Moscow Industrial Bank

As for Gazi Luguev himself, he had a separate affair with LLC "Commercial Bank Agrosoyuz," with which he has been in conflict for a long time. And perhaps this is one of the reasons he came to Moscow?

But the court decided to deny G.D. Luguev’s claims against LLC "CB Agrosouz" for the recovery of funds.

Interpol: Reference Number 18809/EC/76/95

A lot has been written about the murky dealings of Mr. Luguev… For a long time, he sat quietly in Switzerland, like a mouse, swallowing dozens of publications about his OPG activities. And he didn’t make a fuss.

Gazi Luguev and one of his "palaces" in the capital

But in September 2010, he couldn’t take it anymore! In the newspaper "Nasha Versiya," he read an article titled "The Deputy’s Cover," which was a complete reprint from the publication "Vslukh.ru."

The investigation detailed the dark dealings of Mr. Luguev. Gazi Luguev sent an indignant letter to the editorial office of "Nasha Versiya."

The journalists of "Nasha Versiya" responded. They offered the Swiss-based Luguev the opportunity to write a rebuttal. Mr. Luguev immediately demanded the publication of a retraction of all the facts from the investigation dated August 30, 2010.

"In the article ’The Deputy’s Cover,’ false information about my biography and my relationship with State Duma Deputy Ashot Yegiazaryan is presented. I demand, in accordance with media law, that my letter be published as a retraction of the article," Luguev wrote. "How can I be ’the deputy’s cover’ if I invested money in a project he lobbied for (referring to the scandalous reconstruction of the ’Moscow’ hotel)? If anything, Ashot Yegiazaryan is my political ’cover’; under his guarantees and agreements with the Moscow government, I invested significant funds."

About Mr. Yegiazaryan: this gentleman has been on the international wanted list since 2012 and is hiding in the USA.

 But "Nezavisimaya Gazeta" in a publication dated September 8, 2010,

provided a detailed account of how the "Moscow" hotel was taken over.

And what role Luguev and Yegiazaryan played in the process.

Ashot Yegiazaryan

As part of the scam involving the reconstruction of the "Moscow" hotel, for which Ashot Yegiazaryan was responsible, Luguev stayed in the shadows. However, he participated in offshore schemes linked to CJSC "Dekorum" (he was a founder), through which millions were siphoned off.

Two arbitration cases involving CJSC "Dekorum" are surprising: for 4.4 billion rubles.

Further in his letter to the editorial office, Mr. Luguev expresses outrage that the article labels him as the leader of the Dagestani OCG. It was stated as follows: «According to RUBOP data, this person was considered one of the leaders of the Dagestani OCG in the Central Administrative District of Moscow, which engaged in robberies, thefts, and burglaries».

Interpol assigned him the reference number 18809/EC/76/95.

Of course, Luguev insisted that all of this was fiction, that he had no connection to any OCG. And Interpol was not looking for him, as he, Gazi Luguev, calmly lives and works in Switzerland. 

Gazi Luguev in his mature years

"In Switzerland, it is impossible to obtain a residence permit if you are even seen in a photo with someone of criminal reputation," he continued in his letter to the editorial office. "I live in Switzerland with my family, and yet the article writes about me as if I were one of the criminal authorities…"

Well, it’s worth reminding here: before leaving for Geneva, Mr. Luguev seemingly burned all his photo albums. There are practically no photographs of him anywhere.

Next, Luguev was outraged by the oil story, which was covered back in 2002 by the American magazine Newsweek.

The story was about how Gazi Luguev visited Baghdad and met with Saddam Hussein’s eldest son, Uday, to discuss potential joint business opportunities.

Uday Hussein

At that time, Luguev was the owner of LLC "Lakiya Sarl," registered in Switzerland.

And he participated in the "Oil for Food" program.

LLC "LAKIYA SARL" - Moscow - General Director Sarkisov Arsen Nikolaevich - TIN 7708501328

Luguev was extremely cautious in negotiations with Uday Hussein, as he was aware of the brutal nature of Saddam’s eldest son. He knew how Uday tortured football players when they lost matches. 

"Still, Luguev was not one to refuse an opportunity to make money. In Moscow, Gazi built his reputation in the rough and shady alcohol business. Earlier, he helped manage city food markets, where he was known as a tough guy not to be messed with."

According to Newsweek, Luguev personally negotiated with Uday Hussein for oil shipments at undervalued prices, then resold it to Western companies. Commissions from the deals were funneled into secret accounts in Jordan and Switzerland.

But Luguev contested these paragraphs as well.

"In Iraq, I tried to persuade Saddam Hussein to meet the demands of global public opinion and prevent a second war with America and its allies. For this purpose … I met with Uday."

"Regarding the quote from Newsweek. I did indeed have ties to markets when I worked at Centrosoyuz. And to the alcohol business – later. Though, in my case, it was not rough or shady; my first private vodka factory in Russia, ’REAL,’ produced not counterfeit but elite vodka ’Russian Roulette,’ which won a prize in New Orleans."

Vodka by Gazi Luguev

In general, he detailed everything about himself in the pages of "Nasha Versiya."

What is the fate of the vodka factory "REAL"? 

Trademark

And of the vodka "Russian Roulette"?

The factory closed down.

Mr. Luguev no longer produces "Russian Roulette" vodka either.

New vigorous activity

But Luguev continued to register his companies even later, after living in Switzerland for many years.

Then, about two years ago, journalists finally uncovered who owns the mysterious house No. 5 in Khvostov Lane, in the center of Moscow.

As reported by the media, it turned out to be the former partner of Saddam Hussein, the scandalously famous authoritative businessman Gazi Luguev.

This palace was built in the Yakimanka district in 1997 during Yuriy Luzhkov’s era.

Palace in Khvostov Lane, 5

The total area of the house is 2,357 square meters, with 6 apartments, commercial and office spaces, as well as an underground parking for 20 cars.

But information about this property is absent from Rosreestr. Interestingly, for several years, listings for the sale of this palace have appeared on the websites of various real estate agencies.

And in one of the sale listings for the house, a phone number with a Swiss country code was provided.

There is also a curious ruling by the Zamoskvoretsky District Court dated April 19, 2017.

It mentions a lawsuit by OJSC "Ruzam Group" against Luguev G.D., who became the owner of half of the house No. 5 in Khvostov Lane.

16974858. EFRSB Message – Fedresurs

The organization is currently in the process of bankruptcy. 

According to the court ruling (the claim to declare the sale contract invalid was dismissed by the court), Luguev acquired a 1/2 share of the mansion for 2.5 million dollars.

16974858. EFRSB Message – Fedresurs

But it seems the story is not over yet…

Not so long ago, Luguev was also the general director of LLC "Serir Group."

The company was initially located on the first floor of the house in Khvostov Lane, 5, but later changed its address. "Serir Group" was engaged in the production of cold-pressed sunflower oil, sunflower halva, and 20 types of urbech. 

Rusprofile.ru

Trademark of the company «Serir Group»

Additionally, "Serir Group" offered elite interiors made from valuable wood species for kitchens, billiard rooms, and libraries.

Today, as they say, Luguev has arrived in Moscow from Geneva. Apparently, he is confident that his murky criminal past is unknown to anyone, so he feels at ease in the Russian capital. And he has already started engaging in activities reminiscent of the unforgettable 1990s.

Under whose patronage is the 77-year-old "patriarch" of the OCG operating in the capital?

Pavel Raznokidis